The greatest chance for a waterfall decline is when a contract is riding a dowward sloping trendline in my experience. This didn't take place with the first break in support in Silver, but the next break at that swing low was a gusher. One thing that may have opened up the flood gates in Silver was the fact that it failed to follow through to the upside when the prior support level was initially taken back. That was a major failed opportunity for a change in trend.
(Click on charts to expand)
Silver
Gold
The "Hard Asset" Model Portfolio premium service has no positions in the Precious Metals and I am welcoming the carnage here for the opportunity to invest for the Long Term. Currently the Hard Assset Model Portfolio has 15% allocated, with 85% in cash. It is liquid and ready to take advantage of what I see are signs of the inevitable. Which will be bargains in Hard Assets, and the Producers of those Hard Assets with a US Equity market correction, or sustained Global "Risk Off" type environment.
The last trade to the long side in Gold in the "Swing/Position" trade model portfolio was exited at $1,666. The path of least resistance has been lower since then. The patterns in price and volume should not be ignored when trading in my strongest belief in regards to "Risk Management". There is nothing more important in this business than "Risk Management" and chart analysis plays the most critical role in that with my methodology.
Sign up for for a premium service in May by sending me an email. ScottPluschau@gmail.com.
Information can be found in the tabs at the top of the blog on the two model portfolios.
Previous metals posts on the blog that are worth the time to look back on are here:http://scottpluschau.blogspot.com/2013/04/gold-and-silver-patterns-had-measured.html
here:
http://scottpluschau.blogspot.com/2013/03/silver-is-coiling-for-big-move-platinum.html
and here: http://scottpluschau.blogspot.com/2013/03/precious-metals-morning-special-gold.html
Most blog posts are posted to my accounts at Linked In, Stocktwits, and Twitter @ ScottPluschau
Source: http://scottpluschau.blogspot.ca/2013/04/waterfall-declines-in-silver-and-gold.html
(Click on charts to expand)
Silver
Gold
The "Hard Asset" Model Portfolio premium service has no positions in the Precious Metals and I am welcoming the carnage here for the opportunity to invest for the Long Term. Currently the Hard Assset Model Portfolio has 15% allocated, with 85% in cash. It is liquid and ready to take advantage of what I see are signs of the inevitable. Which will be bargains in Hard Assets, and the Producers of those Hard Assets with a US Equity market correction, or sustained Global "Risk Off" type environment.
The last trade to the long side in Gold in the "Swing/Position" trade model portfolio was exited at $1,666. The path of least resistance has been lower since then. The patterns in price and volume should not be ignored when trading in my strongest belief in regards to "Risk Management". There is nothing more important in this business than "Risk Management" and chart analysis plays the most critical role in that with my methodology.
Sign up for for a premium service in May by sending me an email. ScottPluschau@gmail.com.
Information can be found in the tabs at the top of the blog on the two model portfolios.
Previous metals posts on the blog that are worth the time to look back on are here:http://scottpluschau.blogspot.com/2013/04/gold-and-silver-patterns-had-measured.html
here:
http://scottpluschau.blogspot.com/2013/03/silver-is-coiling-for-big-move-platinum.html
and here: http://scottpluschau.blogspot.com/2013/03/precious-metals-morning-special-gold.html
Most blog posts are posted to my accounts at Linked In, Stocktwits, and Twitter @ ScottPluschau
Source: http://scottpluschau.blogspot.ca/2013/04/waterfall-declines-in-silver-and-gold.html
